PSA expresses concern on media reports on change in net metering policy
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Lahore: Pakistan Solar Association (PSA) made resounding call to action, urging authorities and stakeholders to continue supporting net metering as crucial pillar of nation's sustainable energy future. Net Metering has been recognised as cornerstone in transition to clean and affordable energy, aligning Pakistan with global shift towards solar power adoption.
PSA noted that government is contemplating change in Net Metering policy, citing capacity charges of Independent Power Producers as reason. PSA has termed it as an erroneous and misleading approach, which will aggravate electricity prices in country.
PSA Chairman Amir Chaudhry said, "Real issue lies in rampant energy theft, which results in significant shortfall in revenue collection of Distribution Companies resulting in continuous increase in circular debt.
He stressed Net Metering is sustainable energy solution that allows consumers to generate their own electricity through solar panels and feed excess power back into grid. This process not only reduces electricity bills but also contributes surplus energy to national grid, creating win-win situation for both consumers and environment.
In addition to direct impact of 'paying customers' being forced to foot bill for stolen electricity, cost of financing circular debt, caused by recovery shortfall, is also passed on to customers who actually pay their bills, in form of FC surcharge and PHL surcharge.
Our electricity bills are loaded with plethora of taxes, such as Electricity Duty of 1.5 percent, GST of 18 percent, further tax and extra tax of 5 percent and an additional 3 percent and even advance income taxes of an additional 5 percent to 12 percent of total bill value.
Rather than enhancing governance and vigilance to combat electricity theft or re-examining impact of such massive taxation on electricity bills, issue is being deflected by unjustly targeting solar energy. PSA expressed concern over spread of incorrect information and false propaganda by stakeholders from IPPs and DISCOs who want to draw away attention from real problem and undermine trust and progress of solar industry.
He said, "Solar energy sector in Pakistan has enormous potential, not only to provide clean and sustainable energy but also to create job opportunities and boost economic growth. However, we are facing resistance from those who are reluctant to embrace this change."
PSA stated that Net Metering is sustainable energy solution that allows consumers to generate their own electricity through solar panels and feed excess power back into grid.
"We believe in future where Pakistan's energy landscape is more sustainable and eco-friendly. To achieve this vision, it is imperative that government stands by solar energy sector and ensures fair and conducive environment for all stakeholders."
Pakistan Solar Association is non-profit, non-governmental trade body registered with Directorate General Trade Organisations, government of Pakistan that aims to promote and support solar industry.
Published in The Daily National Courier, September, 06 2023
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